The plot to kill net neutrality - Axios
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The plot to kill net neutrality

Illustration: Greg Ruben / Axios


The FCC's rules banning internet providers from favoring some content on their network over other content — beloved by tech companies and despised by telecom carriers — might not last much longer.

Ever since the FCC adopted the rules two years ago, internet service providers like Comcast, Verizon and AT&T, along with Congressional Republicans, have pledged to dismantle or drastically weaken them. Now with Trump in charge, they can do it.

It's a two-front war: The dismantling effort could happen in Congress, at the FCC, or both. New FCC Chairman Ajit Pai, the most senior Republican on the panel and a vocal critic of the rules, can start the reversal process on day one. But that doesn't mean he will. He may opt to let Republicans in Congress resolve the issue with legislation. And both lawmakers and commissioners will be watching what the courts do on the issue.

Here's how it could play out, according to experts and key lawmakers.

At the FCC:

  • Pai can simply decide not to enforce the rules on the books. But stopping there doesn't do anything to prevent Democrats from enforcing them again after the next leadership change. Republicans want to eradicate the current rules once and for all. (Pai may agree with the general idea of an open internet, but he's adamant that treating broadband like a utility isn't the way to do it.)
  • Pai could start a formal process to unwind the rules more permanently, inviting a repeat of the millions of comments that came in from the public the last time the FCC had this debate (Hello, Jon Oliver). The public could also comment on whether to reverse the decision to reclassify broadband service under the law, which gave the FCC broader authority to regulate ISPs.
  • He could use a procedural tactic to scale back the commission's expanded authority more quickly without seeking public comment. He would still need to get comments on whether to keep the rules specifically banning blocking, throttling and fast lanes.

Yes, but: Keep in mind that in any formal proceeding, the commission would have to legally justify why it was reversing its own rules — a tough task considering a federal court last year ruled to uphold them.

A caveat: A person familiar with discussions at the agency on this issue says they remain in flux.

In Congress:

  • Lawmakers could bring back a proposal from 2015 that preserves some elements of the FCC rules but throws out others. It would ban throttling, blocking and fast lanes while limiting the rest of the commission's authority over broadband service. The chairs of both the Senate and House committees that oversee telecom issues signed on to that bill two years ago. Oregon Republican Greg Walden, the new chair of the House's Energy and Commerce Committee, told Axios the compromise was "absolutely" still on the table. His Senate counterpart, John Thune, has said he'd like to revive the deal.
  • Some Republicans in Congress — including the incoming chair of a key House subcommittee on this issue — have said there should not be any net neutrality regulations at all. They could push for a bill that would make it clear providers could block or throttle content or offer paid prioritization.

But wait: Congress might not want to act until the FCC wipes the slate clean on the rules. That could push off Congressional action into the later part of 2017. And the closer they get to the midterm elections in 2018, the harder it will be to make a deal on pretty much any policy.

Regardless of the process that will soon play out, here's how the story ends:

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World Bank president comments on Ivanka Trump's investment fund

Michael Sohn/ AP via pool

World Bank Group president Jim Yong Kim has released a statement about Ivanka Trump's involvement in a fund for women entrepreneurs to be administered by the World Bank (which Trump told our own Mike Allen about on Tuesday):

"The World Bank Group is working with partners on the details around creating a facility for women's economic empowerment, specifically through providing access to finance, markets, and networks. Typically, the governance of facilities we manage is decided among donors, and the secretariat sits within and is administered by the World Bank Group. We are very grateful for the leadership Ms. Trump and Chancellor Merkel have demonstrated on this important issue."

Axios' Dan Primack still has some questions about the fund, including whether Trump or adviser Dina Powell will be actively soliciting contributions while working in the White House.

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Courtesy of Gett

Before Juno even made it beyond New York City, the ride-hailing company has already sold to Gett, a competitor headquartered in Israel and with operations in Europe. The two will team up to tackle NYC, and eventually expand to more U.S. cities.

One notable piece of the $200 million acquisition is that Juno is rescinding the restricted stock unit program for drivers it rolled out last summer, and will send a one-time payment to participating drivers. The RSU program was the differentiator that immediately attracted the most attention when Juno first opened up shop last year, advertising itself as the "anti-Uber."

Broken promise? The combined company won't roll out any equity program to drivers in the future, instead focusing on rewarding loyal drivers in other ways, such as cash bonuses, a Juno spokesperson confirmed to Axios via email. The company added that it realized even before the sale that implementing the program turned out to be more difficult than anticipated.

Opposing views: Shortly after the deal was announced, the Independent Drivers Guild in NYC expressed disappointment in the company's move, calling it a "bait-and-switch." Juno, on the other hand, maintains that while the equity compensation was important, it wasn't its only differentiator. "Juno is about the unique culture we created, about the way we treat drivers and riders, about our 24/7 live support, about a fair lower commission," the spokesperson said via email, adding that these aspects will "only get better."

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Only 36% of people say they would vote to re-elect President Trump if the 2020 election were today, per a Fox news poll, compared to 55% who would vote for someone else.

Most have already made up their minds: 21% say they would definitely vote for Trump and 47% would definitely vote for someone else.

At this point in his first term, 52% said they'd vote to re-elect Barack Obama, and 31% said they'd vote for someone else.

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Carolyn Kaster / AP

President Trump has told the Washington Examiner he is "absolutely" considering breaking up the 9th Circuit, where judges have struck down both his travel ban and sanctuary cities order.

"There are many people that want to break up the 9th Circuit. It's outrageous.... Everybody immediately runs to the 9th Circuit. And we have a big country. We have lots of other locations. But they immediately run to the 9th Circuit. Because they know that's like, semi-automatic."

The circuit includes... Alaska, Arizona, California, Hawaii, Idaho, Montana, Nevada, Oregon and Washington and is by far the largest of the 13 appellate circuits.

Deep breath: It's not clear that splitting the court in two would be particularly helpful to Trump, or that this is something he's actually inclined to move ahead with.

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Data: Instagram; Chart: Andrew Witherspoon / Axios

Why it matters: Instagram announced the growth achievement the same day Twitter reported its Q1 earnings, where it touted a 2.8% quarterly increase in monthly active users to to 328 million — still less than half of the user base of Instagram, which is four years younger. Instagram rival Snapchat will also be taking note of these numbers, as its audience has dwindled since Instagram launched a copycat stories feature in August. Instagram's stories audience has increased so quickly that it surpassed Snapchat's total audience by nearly 40 million MAU a few weeks ago.

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Carolyn Kaster / AP

There's been a lot of buzz this afternoon about the White House supposedly promising to continue the Affordable Care Act's insurer payments. The reality is that it's only going to continue the payments "for now," per a White House official.
But that was enough to convince House Minority Leader Nancy Pelosi, who had clashed with Office of Management and Budget Director Mick Mulvaney over the issue, to dial down the threats of a government shutdown.
From the White House: "While we agreed to go ahead and make the CSR payments for now, we haven't made a final decision about future commitments."
From Pelosi: "Our major concerns in these negotiations have been about funding for the wall and uncertainty about the CSR payments crucial to the stability of the marketplaces under the Affordable Care Act. We've now made progress on both of these fronts ... Our appropriators are working in good faith toward a bipartisan proposal to keep government open."
Behind the scenes: Pelosi talked to White House chief of staff Reince Priebus this afternoon, who has been more conciliatory on the spending bill negotiations than Mulvaney.
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Wong Maye-E / AP

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The club: North Korea would be joining Iran, Sudan, and Syria. It was de-listed as a state sponsor in 2008 after agreeing to scale back its nuclear program.

Context: Defense Secretary Mattis, Secretary of State Rex Tillerson, DNI Dan Coats, and Joint Chiefs Chairman Joesph Dunford are briefing Senators in at the White House today on North Korea.

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Emily Pidgeon/TED

Odds are that the U.S. will remain a party to the Paris climate accord former Vice President Al Gore said Wednesday In a brief appearance at the TED conference in Vancouver.

"I think there is a better than 50-50 chance the Trump administration will decide to stay in the Paris agreement," Gore said. "I don't know that for sure."

Gore said there is a debate taking place tomorrow inside the White House with a decision set to be announced the third week in May before a G-20 summit. "I think the odds are they will decide to stay in Paris agreement. I certainly hope so."

The backdrop: Gore's comments came during an entire session devoted to the impact on climate change. Discussions ranged from more accurate pictures of the crisis to weighing radical solutions, including shooting chalk into the atmosphere in order to reduce the amount of sunlight heating the earth. That idea drew criticism from Gore and others.

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Carolyn Kaster/AP

Of the 556 seats that have to be nominated by President Trump and confirmed by the Senate:

  1. 530 seats are empty
  2. 20 Cabinet-level seats filled, 2 await confirmation, 1 failed
  3. 37 nominees awaiting confirmation
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The precedent: at the 100-day mark, Obama had 487 empty, George W. Bush 521, and Clinton 507

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Marius Boatca via Flickr CC

Only 1% of female founders use venture capital funding to back their businesses, according to an Ernst & Young (EY) and Women's Presidents' Organization (WPO) report, obtained by Fortune. The study looked at 430 women-owned businesses over their lifetime, including old and new companies, and found that:

  • 8% of the women are using personal savings instead of VC funding
  • 22% incurred personal debt
  • 18% received a loan from friends or family

Why not: Co-founder of EY's Entrepreneurial Women program said some women don't seek out venture capital funding in the first place and see it as a point of pride and a source of control — 100% ownership of the business.

Where it stands: 2.19% of all venture capital funding went to women last year, which is a smaller percentage than almost every year in the last decade.